If you desire triumph in the realm of top-performing mutual funds, align yourself with the champions.
These funds not only offer diversification to safeguard against losses but also present a plethora of growth opportunities. With winners in the mutual fund universe, you gain access to seasoned professionals adept at steering through market chaos with finesse. More often than not, experience and knowledge prevail in the end.
Take the Fidelity Fund (MUTF:FFIDX) for instance.
This year, the fund has already notched a robust return of 17.21%, outstripping the S&P 500’s year-to-date performance of approximately 9.76%. The driving force behind FFIDX’s soar is its holdings in Microsoft (NASDAQ:MSFT), Alphabet (NASDAQ:GOOG), Apple (NASDAQ:AAPL), and Nvidia (NASDAQ:NVDA), which continue to ascend. The cherry on top? The fund boasts a low expense ratio of 0.42%.
Moreover, data from Fidelity.com reveals that FFIDX has yielded returns of 29.09% over the past year, 8.52% over the last three years, 15.22% over the last five years, and around 13% over the last decade. This fund still presents investors with a buffet of advantages at a reasonable cost.
However, the Fidelity Fund isn’t the sole standout in the pack. Below are three additional premier mutual funds that merit a closer look.
Exploring Fidelity Large Cap Stock Fund (FLCSX)
Year to date, the Fidelity Large Cap Stock Fund (MUTF:FLCSX) has surged by 13.91%. Over the past year, it boasts a growth of 24.07%, with a five-year return of 13.55%. Sporting an expense ratio of 0.84%, the fund’s portfolio includes blue-chip entities like Microsoft, Exxon Mobil (NYSE:XOM), General Electric (NYSE:GE), and Nvidia among its 176 holdings as of April 30.
In the first quarter of 2024 alone, the fund delivered an impressive 11.8% gain, besting the S&P 500’s 10.56% return. The rodeo rider supporting large-cap stocks this year, propelled by tech giants like Nvidia, promises continued fireworks in the FLCSX fund. Riding the tide with some of the world’s top technology stocks at an even keel, the fund is poised to ride the wave of growth.
The Power of ProFunds Semiconductor UltraSector Fund (SMPIX)
The Pro Funds Semiconductor Ultra Sector Fund Investor (MUTF:SMPIX) stands out as another heavyweight contender. Year to date, the fund has soared by 91.55%. Its one-year return is an impressive 161.5%, and its five-year performance registers at 42.67%. While its expense ratio sits slightly above average at 1.56%, the fund’s returns have been nothing short of explosive.
Credit goes to its holdings in highly sought-after semiconductor stocks such as Nvidia, Broadcom (NASDAQ:AVGO), Advanced Micro Devices (NASDAQ:AMD), and Intel (NASDAQ:INTC) alongside other prominent players in its diversified basket of 42 holdings.
Driven by a strategy that aims for daily investment outcomes 1.5 times the daily performance of the Dow Jones U.S. Semiconductor Index, SMPIX is a bull poised to charge in the semiconductor space. The current climate tilts the scale in favor of semiconductor stocks, especially within the AI and machine learning domains.
Navigating the Needham Aggressive Growth Fund (NEAGX)
Adding spice to the mix is the Needham Aggressive Growth Fund (MUTF:NEAGX).
While sporting a slightly higher expense ratio of 1.9%, NEAGX remains ahead of the curve with a year-to-date return of 21.5%. Over one year, the fund has surged by nearly 51%, and across five years, it boasts a growth of about 22%. Its top holdings feature players like Super Micro Computer (NASDAQ:SMCI), PDF Solutions (NASDAQ:PDFS), and Vicor Corp. (NASDAQ:VICR) along with 80 other hand-picked gems.
The fund’s lineup is dominated by small-cap growth stocks, which are currently showing vivacious signs of vitality. Jefferies analysts have even noted that small-cap stocks are gearing up for a marathon, poised to narrow the gap and outpace their larger counterparts. “As the year progresses, small-cap earnings are set to broaden, accelerate, and catch up with the big players,” declared the firm, as cited by CNBC.
Adding to the allure, billionaire Stanley Druckenmiller recently disclosed a substantial bullish stance on small-cap stocks. According to CNBC, he snapped up $664 million in call options on the iShares Russell 2000 ETF (NYSEARCA:IWM).
